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AI can work much faster than human employees, but rates of AI hallucinations and other errors remain significant.

The Economics of AI Hallucinations and Error Costs

AI can be great, but "AI hallucinations" are frequent when AI software attempts to plug in data holes with information that it creates. This can include "ghost citations" of false sources of information. What will firms do to limit the dangers of AI error?...
4 min read
Trickle-Down Economics: Why It Only Works in Theory
Definitions Managing the economy

Trickle-Down Economics: Why It Only Works in Theory

Published on July 29, 2021

What is the Sunk Cost Fallacy?
Behavioural economics Definitions

What is the Sunk Cost Fallacy?

Published on July 29, 2021

What Is Laissez-Faire Economic Theory?
Competitive markets Business economics Definitions Managing the economy

What Is Laissez-Faire Economic Theory?

Published on June 30, 2021

Human Capital: What It Is and How It Impacts the Economy
Competitive markets Definitions Labour markets Managing the economy

Human Capital: What It Is and How It Impacts the Economy

Published on June 14, 2021

What Is Adverse Selection?
Competitive markets Business economics Definitions

What Is Adverse Selection?

Published on June 08, 2021

What Are Trade Barriers?
Competitive markets Definitions Global economics Managing the economy

What Are Trade Barriers?

Published on June 07, 2021

Factors of Production: Definitions, Examples and Importance
Market failures Definitions Business economics Factors of production

Factors of Production: Definitions, Examples and Importance

Published on June 07, 2021

Understanding consumer sovereignty
Competitive markets Behavioural economics Definitions Managing the economy

Understanding consumer sovereignty

Published on June 07, 2021

What Is a Duopoly?
Competitive markets Definitions Managing the economy

What Is a Duopoly?

Published on June 07, 2021

Understanding the laffer curve
Managing the economy Definitions Global economics

Understanding the laffer curve

Published on June 04, 2021

Newer Posts
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As streaming subscription costs continue to rise, many customers are experiencing "subscription fatigue" and logging off.

Subscription Fatigue and Consumer Optimization in Digital Markets

Streaming entertainment services seemed like a great deal a decade ago. Now, rising costs have reduced consumers' utility significantly. How can streaming firms fight subscription fatigue and keep longtime customers from canceling due to price hikes?...
4 min read

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